High leverage lead to higher loss???

[kholil]

Most professional traders and financial managers trade one standard lot for every $ 50,000 in their account. If they trade mini-accounts, this means they redeem one mini lot for every $ 5,000 in their account. Let it sink in your head for a few seconds. If such pro trades, why inexperienced traders think they can succeed by trading 100K standard lot with a $ 2,000 or 10K mini lot account for $ 250? No matter what the Forex brokers say, never open a "standard account" for just $ 2,000 or a "mini account" for $ 250. Heck, some even allow you to open an account for only $ 25. The number one reason a new merchant fails is not because they are lousy, but because they lack capital from the beginning and do not understand how leverage works.

[oralit]

High leverage will make you lose a higher loss. That is no doubt because with high leverage, you will be able to open multiple positions at the same time, so you will get high risk. This is the reason why brokers often suggest we should use low leverage. and That's really happening in forex trading. High leverage always leads to high losses. Previously I used high leverage and I suffered huge losses. But now I have reduced my leverage amount and I am doing it well now. But I do not know the reason why it happened. Does anyone know the reason?

[nick]

Higher leverage always does not mean that people should use a lot higher. Higher leverage is used by many traders to open the medium lot size in small margins. and by opening in moderate size, one can earn a lot of free margins and a merchant that utilizes leverage makes a big profit. And those traders who use high leverage but do not find profits and land in losses blame high leverage as dangerous. I do not like people doing that.

[silsilah]

yes but leverage is not the only major one for loss. If we trade well with high leverage, we can make a fortune or if we abuse it, it may be lost. We can not blame leverage. and yes, higher leverage means higher loss. so better use low leverage to save your balance from big loss. Because if you lose your money then no one will be responsible for it. So do not use high leverage in forex.

[dumel]

Every aspect has its advantages and disadvantages. High leverage helps us make good money while trading but can also cause high losses as well. It will depend on our trade, whether we lose or win high. If we place a good trade then surely we will be able to earn good profits with high leverage. But failing to do that will definitely cause big losses as well. and I agree with you. Actually high leverage can bring us at a loss but most of the time high leverage only leads us to a quick margin call. That's why we can not blame high leverage for any kind of loss. Leverage is simply an option for merchants to manage high value in small funds.

[ver]

I think slightly different, higher leverage causes aggression and aggression to cause losses. If we trade with high leverage and also follow the rules and avoid any aggression then we may have a big profit. Leverage actually increases our margins and we benefit as long as we can control ourselves. and Merchants should know how to use this high leverage as there is always a need to control trading in such cases and because dreams or ideas to earn more money can destroy their accounts due to the use of large lot sizes.

[aril]

Higher leverage can give you a high profit but it is history that merchants who use high leverage have lost their money. So this is the best facility we have but we have to use this facility every time you confirm about the movement without any problems. and, using small or high leverage is not a problem for our trade, it is also important to use good money management when we use high leverage, if we violate our money management we will get a failure there

[aceng]

yes my friend, ignoring money management is the main cause why many traders fail in the use of higher leverage. They think, just because they have greater leverage then they can use bigger lots too, that's so wrong, what they do not realize is that greater leverage does not change the fact that our real money does not change. and I also prefer low leverage, because one thing you tell about trading psychology, it is very difficult to see the loss of position and what will make you open another position and hope the price will reverse. Leverage is better low.

[pomade]

imaging if we lose $ 90 out of 100 $ capital and we still have $ 10 if we make a small lot size corresponding to $ 10, we will never recover lost what we need in this situation is 1: 1000 exploit open bidding on the size the same lot we used before and we will recover quickly. and I have read a post from a friend in this forum alone that high leverage is not the culprit, it is actually good for a trader who has a very low account balance, it allows him to trade forex like any other, the culprit abuses this high leverage, avoided

[nipu]

As a rule, when a trader makes a loss, he looks for something to blame for losses. Sometimes he can say that the market is against him, or he can say that it is the leverage or overtrading that causes it. He never wanted to take responsibility for a bad strategy. Using many large sizes with highleverage is a bad strategy. and, higher leverage makes you lose your deposit faster. so it's not safe to use higher leverage especially if you are not good enough in trading. it's better to use the lower lot. at least with a lot lower when you lose it is easier to recover.